Eleven flagship hospital trusts are admitting more emergency patients than
they should leading to warnings people will have to be treated elsewhere.

A report from the regulator of foundation trusts, set up under Labour to have more independence from Whitehall, shows that more urgent cases will have to be treated in the community by GPs and others rather than in hospital or finances will suffer.

Under new rules if more emergency patients are treated than were planned for the foundation trust receives only 30 per cent of the payment they would normally receive.

It means if more patients are treated than planned the hospital faces making a loss and will run up debts.

The regulator, Monitor, is warning trusts to tackle the problem as large savings must be made across the NHS.

Two thirds of the 130 foundation trusts are behind in their savings plans and job cuts cannot be ruled out, Steve Bundred, chairman of Monitor, told the Daily Telegraph.

Last week the Department of Health loaned Heatherwood and Wexham Park Hospitals Foundation Trust £18m because of financial difficulties.

Mr Bundred said he expected others to have similar problems as costs continue to rise in the NHS, demand increases with an ageing population and more ill health while large budget increases have been frozen.